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Abstract

The arrival of Uber to Mexico City was controversial for users and suppliers in the transportation market. After several months of protests, roadblocks and negotiations, in accordance with the Mexico City’s Mobility Law, the local government regulated Uber services incorporating them as an additional option of transportation for its inhabitants. This document presents two conclusions about this change of regulation from the perspective of the Economic Analysis of Law and Policy Analysis. First, there was a improvement in the surplus of users resulting from the new regulation that allows the operation of companies like Uber. And second, the oligopolistic concentration in the market of taxi cabs in Mexico City eventually facilitated the change in the regulation.